Waaree Energies IPO | Company files draft papers with SEBI, fresh issue portion at Rs 3,000 crore

Waaree Energies files IPO papers

Leading solar panel manufacturer Waaree Energies has filed the preliminary papers with the capital markets regulator SEBI for fund raising through initial public offering, on December 28.

The IPO is a mix of fresh issue of shares worth Rs 3,000 crore by the company and an offer-for-sale (OFS) of 32 lakh equity shares by the existing shareholders.

Promoter entity Waaree Sustainable Finance (formerly known as Mahavir Thermoequip) will be selling 27 lakh shares in the OFS, while others Chandurkar Investments and Samir Surendra Shah will be offloading 5 lakh shares.

Promoters hold 72.32 percent shareholding in the company, and the remaining 27.68 percent shares are held by public.

Earlier in September 2021, Waaree Energies had filed draft papers for fund raising via IPO which comprised of a fresh issue of Rs 1,350 crore and an OFS of 40.07 lakh shares by the existing shareholders. It had received approval from the regulator in January 2022, but later in the same year decided to withdraw the said Rs 1,500-crore IPO papers may be due to volatile market conditions.

Waaree, the largest manufacturer of solar photovoltaic modules, intends to utilise net fresh issue proceeds for establishing its 6-GW of ingot wafer, solar cell and solar PV module manufacturing facility in Odisha, besides general corporate purposes.

The company that commenced operations in 2007 focusing on solar PV module manufacturing, has the largest aggregate installed capacity of 12GW, as of June 2023, increasing from 9GW in March 2023, and 2GW in 2021.

It has a substantial order book of 20.16 GW of solar modules as of November 2023 which included 3.75 GW of orders for its subsidiary, Waaree Solar Americas Inc in the United States.

The Gujarat-based firm with four manufacturing facilities recorded a massive 538 percent on-year growth in net profit at Rs 482.8 crore for the year ended March FY23, and revenue from operations grew by 136.5 percent to Rs 6,750.9 crore compared to FY22, while the revenue during FY21-FY23 grew at a CAGR of 86 percent.

It has reported net profit at Rs 336 crore for the quarter ended June FY24, on revenue of Rs 3,328.3 crore.

Axis Capital, IIFL Securities, Jefferies India, Nomura Financial Advisory and Securities (India), SBI Capital Markets, Intensive Fiscal Services, and ITI Capital are the merchant bankers to the issue.